Unemployment has fallen to 4.4 per cent, its lowest level in 18 years, according to figures released yesterday by the Central Statistics Office.

Almost 40,000 people have signed off the live register so far this year, with 888 signing off in August when 159,026 people were signing on. When seasonal factors are taken into account the register fell by 2,000 to 151,200.

In August, the majority, or 93 per cent of those who signed off, were over 25, with more males than females finding jobs.

The monthly fall of 888 in August comprised 520 males and 368 females. The monthly fall of 2,000 in the seasonally adjusted index comprised 1,300 males and 700 females.

The exceptions were the west and mid-west where the numbers signing on actually increased. Most people signed off in the Dublin area, with the live register falling by 470 in August and 204 signed off in the south-west.

However, 142 people signed on in the west and 68 in the mid-west.

The 4.4 per cent rate compares with 5.7 per cent in April 1999, based on the Quarterly National Household Survey, and with 5.5 per cent in August 1999 according to live register data.

The live register is not designed to measure unemployment - it includes part-time workers and seasonal and causal workers who are entitled to unemployment assistance or benefit. The Government prefers to use the household survey and according to that there were 81,500 people unemployed in the period from December to February 2000.

Only 69 per cent or 109,100 receive a full weekly payment, while 21,400 or 13 per cent receive a payment for part of the week. The remainder sign on for credits.

The Minister for Social, Community and Family Affairs, Mr Ahern, welcomed the drop in the live register. "While the live register may not be a true measure of unemployment, it does nevertheless give a clear indication of how far we have come as a country where pro-employment polices are the order of the day."

He added that he would encourage unemployed people to take advantage of back to work schemes to acquire the skills needed for the jobs market.

The Irish National Organisation of the Unemployed also welcomed the figures, saying they showed a continued gradual decline in unemployment.

However, the organisation also pointed to huge regional disparities which it said needed urgent attention.

It also drew attention to the worsening financial position of those on unemployment benefit whose gains from the last budget have been wiped out by inflation

The Labour Party spokesman on Enterprise, Trade and Employment, Mr Pat Rabbitte, said there is a slowdown in the rate in which unemployment is dropping. He added that the worsening situation in the regions needed to be urgently addressed and that those made unemployed due to the closure of Warners should be given an opportunity to retrain.

The Fine Gael spokesman on Enterprise, Trade and Employment, Mr Denis Naughten, called on the Government to reassess whether the live register is a true measure of growth and employment in the State.